Grossmont Healthcare District plans to keep lease

EAST COUNTY  The Grossmont Healthcare District, landlord of Grossmont Hospital, is continuing negotiations with Sharp HealthCare to add 30 more years to its existing lease agreement for the operation of the La Mesa hospital.

The board voted to finalize discussions with Sharp officials to extend the current 30-year lease, which was signed in 1991 and is scheduled to expire on May 30, 2021. The parties are discussing extending the lease to May 29, 2051.

At Tuesday's meeting, the board voted 4-1, with board member Betty Stieringer in opposition, to direct staff to prepare a letter of intent that would include basic terms for a 30-year lease extension with the Grossmont Hospital Corp., the legal entity associated with Sharp HealthCare that manages and operates the 536-bed hospital.

The letter of intent, representing one of several steps required for a lease extension, is expected to be considered by the board in early 2014. If approved, planning would be finalized for a future ballot measure on the lease extension.

Voters in the East County will have the final approval of any lease extension.